Building Bridges: New Zealand Invites Public into NZ-India Trade Negotiations

India, with its population of 1.4 billion and a trajectory to become the world's third-largest economy by 2030, presents substantial opportunities for New Zealand exporters.

In a significant move to bolster economic ties with one of the world's fastest-growing economies, New Zealand's Trade and Investment Minister, Todd McClay, announced the launch of a public consultation on the proposed Comprehensive Free Trade Agreement (FTA) with India. This initiative seeks to gather insights from a broad spectrum of New Zealand society, including businesses, non-governmental organizations (NGOs), and the general public, to inform the upcoming negotiations.

Invitation for Public Participation

Minister McClay emphasized the importance of public input in shaping the FTA, stating, "Negotiations are getting underway, and the public's views will better inform us in the early parts of this important negotiation." He extended an invitation to all interested New Zealanders to submit their perspectives by April 15, 2025. 

Economic Significance of the FTA

India, with its population of 1.4 billion and a trajectory to become the world's third-largest economy by 2030, presents substantial opportunities for New Zealand exporters. The bilateral trade between the two nations stood at NZD 3.14 billion annually as of December 2024, with New Zealand exporting NZD 718 million worth of goods to India. Key exports include forestry products, agricultural goods such as wool, logs, and apples, as well as iron, steel, horticulture products, aluminum, and dairy. 

Minister McClay highlighted that strengthening ties with India aligns with the government's objective to double New Zealand's exports within the next decade. He noted, "One in four Kiwi jobs rely on trade, and last year our export revenue added $100 billion to the economy." 

Revival of Negotiations

The decision to pursue a comprehensive FTA marks a revival of efforts that began in April 2010 but were suspended in 2015 after ten rounds of negotiations when India joined the Regional Comprehensive Economic Partnership (RCEP) negotiations, from which it later withdrew in 2019. 

The renewed commitment to the FTA was underscored during New Zealand Prime Minister Christopher Luxon's visit to India from March 15 to 19, 2025. During this visit, both nations agreed to commence free trade negotiations in April 2025. Prime Minister Luxon also met with Indian Prime Minister Narendra Modi to discuss defense and security cooperation, culminating in the signing of a bilateral defense agreement. 

Comprehensive Engagement Strategy

Beyond the FTA negotiations, New Zealand aims to deepen its relationship with India across various sectors. Minister McClay stated that the government will continue to invest in "stronger, deeper, more sustainable connections with India across all pillars of the relationship, including our political, defense and security, sporting, environmental, and people-to-people connections."

Call to Action

The Ministry of Foreign Affairs and Trade encourages all stakeholders to participate in the consultation process to ensure that the FTA reflects the interests and aspirations of the New Zealand public. Submissions can be made through the official channel at: citeturn0search0.

This public consultation represents a pivotal step in shaping the future of New Zealand's trade relations with India, aiming to foster economic growth and strengthen bilateral ties.